Ohio’s electricity demand is surging, fueled largely by massive data centers operated by companies such as Amazon, Facebook, Google, and Microsoft. These data centers, along with cryptocurrency mining operations, consume enormous amounts of energy while contributing relatively few local jobs. The Ohio Consumers' Counsel (OCC) is working to ensure that everyday Ohioans are protected from paying costs associated with meeting this unprecedented demand.
The Public Utilities Commission of Ohio (PUCO) recently approved a settlement between AEP, the PUCO Staff, OCC, and other stakeholders in Case No. 24-0508-EL-ATA. This agreement will help ensure that the costs of upgrading Ohio’s transmission infrastructure—needed to serve these high-demand customers—are borne by the tech giants themselves, not residential utility customers. While business growth is vital to Ohio’s economy, residential utility customers should not have to subsidize the expensive infrastructure needed to serve these consumers.
OCC will continue its efforts to protect residential consumers from being charged for the costly infrastructure needed to serve large, energy-intensive businesses. That work continues, for example, in the pending AEP rate case, Case No. 25-0392-EL-AIR.
ADDITIONAL BACKGROUND
The settlement that OCC joined secured a landmark agreement protecting residential consumers from bearing the costs of serving power-hungry data centers. Other parties signing the settlement included the PUCO Staff, Ohio Partners for Affordable Energy, The Ohio Energy Group, and Walmart.
Rejected Settlement Favoring Tech Giants at Consumers' Expense:
A competing settlement, supported by a coalition of data centers, would have favored industry players like Amazon, Google, Microsoft, and Facebook. This pro-industry proposal would have lowered costs for these tech giants while shifting while shifting the burden to other consumers. The PUCO declined to adopt their settlement.
OCC will continue its advocacy to shield consumers from costs they do not cause, in particular, the massive transmission spending needed to support the explosion of data centers in Ohio.
Link to OCC-supported AEP Tariff settlement: https://dis.puc.state.oh.us/DocumentRecord.aspx?DocID=5977c990-79bf-426a-94a8-e633637d3783
Case Docket: https://dis.puc.state.oh.us/CaseRecord.aspx?CaseNo=24-0508
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